Florida Real Estate Study

What is "price?"

Amount actually paid in real estate transaction

What do homestead rights provide?

An estate for years

In the complaint process, if there is no dispute over material facts, how many bouquets be resolved?

An informal proceeding

What type of listing is held by two or more licensed brokers?

An open listing

Which type of estate refers to the Lessors interest in leased property?

And estate in reversion

Which type of property can be purchased with a VA loan?

Any owner occupied residence including condominiums and mobile homes

Who has the right to file a complaint against the licensee with the DBPR?

Anyone

Which form of escrow settlement procedures requires the parties to abide by an objective third-party's decision after a hearing?

Arbitration

And owner wants to build a 15 foot deck on the side of the house.there is a 10 foot setback requirement.if he builds the deck, there would be only 15 feet left over.what can the owner do?

Ask for a variance

Under which agreement does party give up all of the right under a lease?

Assignment

All of the following are required to be displayed at the brokers office, except? A. Copies of each sales associates license. B. A fair housing poster. C. A proper sign on or about the entrance. D. The license status of any brokers listed on the office sign.

A. Copies of each sales associates license

All of the following statements apply to an estoppel certificate except: A. It may also be called a letter of estoppel B. It is used to confirm that the lien or obligation exists C. It is used to confirm the outstanding loan balance as of a given date D. It forms a lien against the property

D. It forms a lien against the property

All of the following are requirements for obtaining continuing education credit by attending a FIC meeting, except: A. Licensees must obtain prior approval before attending and obtaining credit. B. Licensees must attend the entire first day of the meeting to obtain credit C. Licensees me obtain three hours continuing education credit each renewal. D. Licensees may obtain credit by attending any three hour of the meeting

D. Licensees me obtain credit by attending any three-hour of the meetings

In the course of listing the sellers house, the sales associate notice that minor repairs were necessary.the sales associate suggested that the centers use ABC contractors, Inc. to handle repairs.ABC forwarded the sales associate a 10% referral fee.which statement applies?

This is a violation of real estate license law

A sales associate wants to use a trade or fictitious name.which statement applies?

This would violate FS 475

Complete the sentence.a fiduciary relationship is one of:

Trust and confidence when excepted

How long may commissioners sit on the real estate commission?

Two consecutive 4 year terms

What is required for a transfer of title?

Two witnesses, signed and delivered

A holder of a text certificate may request a text deed after how long?

Two years but not after seven years

What is the status of an option without valuable consideration?

Void

A buyer makes an offer which the seller excepts.before the broker can tell the buyer of the acceptance of his offer, the buyer does.what is the most likely status of the contract?

Void because the buyer did not know the offer was excepted before he died

When is intermediation in financial institution most likely occur?

When supply of funds is increasing, and the demand is decreasing.

All of the following are required for a valid mortgage except: A. The legal description of the property B. Signature of the mortgagee C. Signature of the mortgagor D. It be in writing

B. Signature of the mortgagee

Six brokers wish to become partners in a real estate agency in each be active in real estate sales what is required? A. That the register with the DB PR as interactive brokers B. That they all be licensed as active brokers. C. That they have at least one at the broker. D. That they register the partnership with the department of state.

B. That they all be licensed as active brokers

A broker list a property for $30,000 the broker learned of a new development which will be built besides the listed property.the broker purchases the property from the seller for full listed price and discloses the fact that he is a licensed broker the broker than sells the property to the developer for 50,000 which statement is correct? A. The broker acting ethically B. The broker is guilty of concealment C. The broker is guilty of failure to account D. The broker is guilty of culpable negligence

B. The broker is guilty of concealment

Who are the parties to the contract after a sales contract has been completed, and the money placed into escrow pending closing of the transaction?

Buyer and seller

What is the function of a secondary lender has opposed to a primary lender?

Buys existing mortgages

All of the following are exempt from RESPA requirements, except? A. A loan for the construction of a 10 unit apartment building B. A loan for a commercial property C. A loan to purchase a new home in a subdivision D. And all cash payment for single-family home

C. A loan to purchase a new home in the subdivision

Which remedies are available when a seller breaches a contract? A. A suit for specific performance B. Buyer gets deposit returned C. A or b but not both D. Notifying FREC

C. A or b but not both

Which of the following required any real estate brokerage partnership? A. All general partners must be at the brokers B. All officers and directors must be at the brokers C. At least one of the partners must be an active broker D. All partners, officers and directors must be at the brokers

C. At least one of the partners must be an active broker

Which action would be considered a 1st° misdemeanor? A. Advertising property in a fraudulent matter B. Failure to reconsult an escrow account C. Failure to comply with the rules regarding rental list D. Failure to give the required agency disclosure

C. Failure to comply with the rules regarding rental list

Under the law of eminent domain an individual has the right for reimbursement for which of the following? A. Personal anguish B. Assessed value C. Fair market value D. Intrinsic value

C. Fair market value

A Georgia broker any Florida broker form a joint venture to sell a Florida property that a friend of Georgia broker owns.the Georgia broker comes down to assist The Florida broker in the sales of the property that the Florida broker:

Cannot pay the Georgia broker part of the commission

A broker is sued for misrepresentation the court awards the buyer $100,000 in damages.what kind of penalty is this?

Civil

What results from zoning laws?

Communities are divided into districts based on use

Which combination of appraisal approach in property type would be agreeable to an experienced appraiser?

Comparable sales approach

Which process is used by the goverment to take private land for public use?

Condemnation

What term is used to refer to a lien imposed on a property for number payment of materials or labor to improve the property?

Construction lien

Which type of lien may be retroactive to an earlier date, thus taking priority over other liens?

Construction lien

What charge may be filed against a broker who fails to pay his or her sales associate?

Conversion

Due to possible problems with clear and marketable title, a broker should avoid properties owned by which of the type of business?

Corporation sole

Which business structure may not act as a real estate broker?

Corporation sole

Which type of business relationship must be in writing?

Corporations and limited partnerships

The land is valued separately from the improvements in which appraisal method?

Cost deppreciation

Who can assess property for tax puposes?

County property appraiser

When a property owner does not agree with his tax assessment what is the proper order for a review?

County tax assessors, value adjustment Board, Circuit Court

A broker receives a deposit check on Monday and deposit it in his escrow account the following Monday.the check subsequently is returned with no sufficient funds what fraud has the broker committed?

Culpable negligence by failing to deposit the check immediately

A broker owes which duty to a customer?

Disclose known facts affecting the value of residential property

Which term refers to the interest that is charged when banks borrow from the federal reserve?

Discount rate

What is a licensee with full representation to both parties in the same transaction referred to as?

Dual agent

Certificates of the FREC meetings which reflects the actions of the commission or signed by which entity

FREC chairperson or vice chairperson

Broker Tom collect a commission, a portion of which was due to sales associate dave.Tom did not pay Dave his share of the commission.what could Tom be charged with?

Failure to account

Jim is a sales associate applicant but has failed state exam twice.after reviewing his most recent exam, he feels that some of the questions he missed were really correct and marked wrong in error.what me Jim do?

File a written objection to the questions during the scheduled question review

A licensee who has been voluntarily in active for five years wishes to become active.what must the licensee do?

Find an employer and file a change of status form

Which court is the final court in the appeals process?

Florida Supreme Court

If a mortgage broker informs the borrower that they need to refinance their loan after only 10 months, with a higher interest rate and also some closing costs, which lot would be violated?

Florida fair lending act

Complete the sentence.General partners in a brokerage partnership that are not qualified to perform the services of real estate must be registered

For identification purposes

What is the title insurance designed to protect against?

Forged documents

A broker receives a deposit on the property but the seller rejects the offer what should the broker do?

Give the deposit back to the buyer

Which asset is the most difficult to set a dollar value on for a business?

Goodwill

If an unrecorded deed is accidentally destroyed, who owns the property?

Grantee

Which clause any deed contains the grantors name and legal description?

Granting or premises clause

When calculating housing and total obligations ratios, which income value does the lender use?

Gross monthly income

A broker has a Texas securities license as well as a Florida real estate license.the broker commits fraud on a securities transaction in Texas and agrees to make a full restitution. Most likely the borrower will:

Have the Florida brokers license revoked or suspended

Who is exempt from provisions of the fair housing act of 1968?

Homeowners were selling their only single family home as A FSBO.

Three friends buy a property together with equal shares at the same time.if they have the right of survivorship, what type of Tennessee have they created?

Joint tenancy

Which type of interest in real property is created by type of contractual agreement having all essential elements of a contract, plus a property description and a definite charm of tenancy?

Leasehold

When the county assessed property and collects taxes, what are they doing?

Levying Texas

A broker who is temporarily incapacitated in regard to his or her ability to act As a broker with regard to safety of the public will probably have which action taken?

License suspension

Which business structure incorporates Limited as well as a limited liability?

Limited partnership

How does the marketable record title to real property act (marta) relate to curing defects in titles?

Limits the period of search required to establish valid in marketable root of the title to at least 30 years

What term is used to refer to damages that are specified in the contract?

Liquidated damages

Which entity would an owner approach when seeking to subdivide his or her land?

Local planning board or the appropriate government agency

The buyer signs and offer with a deposit, but the seller changes the price what should the sales associates do?

Make necessary changes, have the seller sign and initial the changes and then have the buyer initial the changes

What is the most probable price that a property will bring in an open and competitive market?

Market value

A broker sells Jane, a prospective renter, a rental list for $100 on May 1.if Jane wants a refund, by what date must Jane request a refund?

May 31

What is the most effective method of describing real property?

Metes and bounds method

A broker followed the instructions of FREC for an escrow disbursement order, but was the victim of a civil court judgment that resulted in a payment of $10,000 from the real estate recovery fund.what consequence with the FR EC impose?

None, the FREC will take no action against the broker

A Methodist church owns a nursing home fortes members.they refused to admit anyone to the home was not a member of the church.this is?

Not a violation of the fair housing act

What is the most likely consequence for a broker who negotiate a contract for the sale of a house between the owner and purchaser in violation of the statute of frauds

Not be disciplined

Where would the interest rate, payment and other terms of a loan be found?

Note

Broker Paul was served a subpoena to testify in court.Paul introduced his license into evidence to support his qualifications to testify.what did Paul achieve by this action?

Nothing: it has no effect in the court of law

Which punishment with the FREC likely impose for a first offense against the broker found guilty of a minor violation?

Notice of noncompliance

What should a sales associate do if he or she considers a rule to be invited?

Notify FREC

Unless exempt, performing the service over the state for someone else for compensation in Florida without an active license is considered to be which of the following criminal violations? A. Misdemeanor of the 1st° B. Misdemeanor of the 2nd° C. Felony of the 1st° D. Felony of the 3rd°

D. Felony of the 3rd°

Complete the sentence. The florida real estate recovery fund. A. Is replenished from state taxes if needed. B. Covers punitive damages. C. Is to protect licensees. D. Is funded from licensing fees.

D. Is funded from licensees fees.

Which type of mortgage is known as seller financing?

Purchase money mortgage

Any brokerage corporation the officer and director's can be active or in active brokers or non-licensed registered persons.if someone who is not licensed and registered wants to become a broker what must he she do?

Qualify for broker license in the same way as anyone else

Which type of deed is the most favorable from the grantors point of view?

Quit claim deed

Which deed contains no warrants or promises?

Quitclaim deed

Which type of lending institution is formed by private investment groups to purchase real estate for investment and to make sure term construction and long-term mortgage loans?

REIT

The fair housing act of 1968 prohibits discrimination based upon

Race, color, religion, sex, national origin, family status or handicap

What is a contract for deed, or land contract?

A form of owner financing

How many townships are in a check?

16

A broker shows a house to a prospect making a statement that they are going to love the elementary schools.this is an

Acceptable statement

Unless there is a reasonable benefit for the borrower, the Florida fair lending act Prohibits a lender from refinancing the same borrower with and how many months?

18

What is the maximum interest rate on a text certificate?

18%

Failure to pay property taxes will lead to the sale of tax certificates. In order to force the sale of the property, how many years must the investor wait?

2

What is the maximum fine the commission could impose against a licensee who was found guilty of two violations of chapter 475 FS?

10,000

A seller refuses to accept an offer submitted by broker on behalf of the buyer. the offer meets the terms of the listing contract.what is the broker and to?

100% of the commission

If both the buyer and the seller make claims on an escrow money held by the broker, within how many days is the broker required to notify FREC?

15

Conventional lenders usually want the buyer's housing ratio not to exceed ___ and the total obligations ratio not to exceed ___.

28%, 36%

If a lender charges 8% interest plus 2 points what is the appoximate yield on the loan?

8.25%

What action with the current window FREC imposes a fine against the licensee, and the individual is unable to pay the fine?

A civil action will be brought to recover any judgment awarded

What is a tax shelter?

A legal method of decreasing tax liability

Under what condition me the FREC revoke the license without prejudice?

A license was issued by mistake

Zoning can protect and honor from which type of loss?

A loss in value any residential area with urban encroachment

Without specific authorization it is a violation for a sales associates except which of the following as a deposit? A. A post dated check B. Cash C. Specie (coin) D. Valuable consideration

A post dated check

Merry beads John a property for John's lifetime.upon John's death, the property will transfer to Fred.what is Fred's interest in the property?

A remainder estate

What would most likely be required to build a church in a residential neighborhood?

A special use exception

What does the local planning agency have the authority to approve?

A subdivision plat map

What is a title plant?

A system of records collected and filed by legal description

Who does a deed of trust convey title to?

A third-party

What is the expected result when the bank stock up their reserves?

A tight money market

What is an option contract?

A unilateral contract, binding only the optionor

A broker receives a kickback or referral fee from my title insurance company.this practice is

A violation of RESPA

Which item creates a formal contract?

A written form

When the mortgage or for fills all his obligations under the note, what clause protects his right to the property?

Defeasance clause

A building cost $55 per square foot to build today, but cost $45 per square foot to build when it was new 10 years ago.it is kept in good condition and only appears to be seven years old that it contains 3000 ft.².lot measures 100' x 120' and comparable sites are selling for $3.10 per square foot the site improvements are valued at $4000. Using a 35 year useful life, estimate the value of the property? A. 173,200 B. 159,057 C. 149,200 D. 137,629

A. 173,200

All of the following cause forfeiture of a corporations charter, except: A. Bankruptcy B. Failure to pay the annual report free C. Court action D. Action of stockholders

A. Bankruptcy

Which of the following documents not only recommends that the principal sign it, but requires? A. Consent to transition to transaction broker B. Notice of non-representation C. Single agent notice D. Transaction broker notice

A. Consent to transitions the transaction broke

Which of the following provides quiet enjoyment of a deed? A. A covenant B. A noise restriction C. An encumbrance D. A noise variance

A. A covenant

A real estate license is required for all of the following individuals except: A. An appraiser on salary with a financial institution B. A person showing time share condo units C. And out-of-state auctioneer selling Florida farmland D. A person selling business opportunities

A. An appraiser on salary with a financial institution

Which item would be optional on the brand office sign? A. Branch office name B. The words licensed real estate broker C. The name of the business entity D. The name of an individual broker

A. Branch office name

Which of the following is an entry on a broker cash reconciliation statement? A. Expenses of the buyer are shown as a disbursement B. Expenses of the center shown as a receipt C. Expenses of the buyer shown as a receipt D. Expenses of the broker shown as a disbursement

A. Expenses of the buyer are shown as a disbursement

Broker dan and broker Fred both have an open listing on gills home.broker Dan showed gills home to customer Paula.6 months later broker friend shows Gales home to Paula and Paula buys it.which is correct? A. Gil owes fred a commission B. Gail always dan a commission C. Fred and dan must share the commission D. Gail must pay both brokers a commission

A. Gail owes Fred a commission

In order for a broker to the point designated sales associates to represent the buyer and seller, all of the following conditions must be met, except: A. It is a residential transaction that B. It is a non-residential transactions. C. The buyer and seller must sign statements. D. The buyer and seller must have assets of at least $1 million

A. It is a residential transaction

Erin applicant has passed the state examination for becoming a sales associate an hour later Erin has the opportunity to list his neighbors house parent may: A. List the house as long as he has in employing broker and both Erin and the employing broker are properly registered on the record of the DBPR. B. Not list the property until he has sent a copy of his past slip and a copy of his employing broker's business tax receipt number to the division of real estate for certification C. List the property as long as he has been properly pre-registered with his new owner developer and the pass slip is physically in his possession D. Not list the property until he has joined and paid the required fees to the local association of realtors

A. List the house as long as he has been employing broker and both Erin and employing broker or properly registered on the record of the DB PR

Mr. able sold his home to Mr. and Mrs. Baker and gave them a warranty deed that the bakers moved into the home but did not record the deed.2 days later Mr.able died, and his heirs up north sold the property without any knowledge of previous sale.the heirs conveyed title to Mr. and Mrs. Charles, who did Record the deed.who owns the property? A. Mr. and Mrs. Baker B. Mr. and Mrs. Charles C. Mr. Abel's heirs D. The Charles and the bakers as joint tenants

A. Mr. and Mrs. Baker

A qualified applicant from a mutual recognition state who is requesting a license by mutual recognition is required to do which of the following? A. Provide proof of licensure any mutual recognition state B. Provide a notarized letter stating there in 10 to become a Florida resident C. Provide proof of Florida residency for a minimum of the last six months D. Pass a 100 question law exam

A. Provide proof of licensure any mutual recognition state

Which expense is an example of a fixed operating expense? A. Real estate Taxes B. Maintenance C. Management D. Utilities

A. Real estate Taxes

The primary purpose of the federal home loan bank system is to provide support for which of the following? A. Savings associations B. Federal commercial banks C. Mortgage brokers D. Insurance companies

A. Savings association

A broker while looking for a deal for his best friend, get a listing.the seller must sell because of a family emergency... What should the broker say to his best friend? A. Say nothing about the seller, and ask the buyer to make an offer B. Tell the buyer that the seller must sell so quickly so that he would probably accept any reasonable offer C. Give the buyer only the suggestion that the seller is motivated D. Tell the buyer that a dual agency exists

A. Say nothing about the center, and ask the buyer to make an offer

An option contract must have which of the following elements? A. Valuable consideration B. A competent grantor C. A competent mortgagor D. Good consideration

A. Valuable consideration

How does a broker determine what the selling price should be on the net listing?

Add the brokers commission and sellers closing cost to the amount the seller wants to net

A purchase money mortgage is the commonly referred to as which of the following terms? A. Seller financing B. Chattel mortgage C. HELOC D. Bank loan

A. Seller financing

Which of the following is a characteristic of an amortized or level payment mortgage? A. The early payment are mostly interest B. The early payments are mostly principal C. Each monthly payment increases and the balance decreases D. With each monthly payment, the interest increases and the balance decreases.

A. The early payments are mostly interest

Which of the following is a characteristic of a general partnership? A. The partners agreed to share in the profits and depths of the partnership B. I'll partners must be brokers C. There must be at least one limited partner D. The shareholders agreed to share in the profits and depths of the partnership

A. The partners agree to share in the profits and Deb's of the partnership

What me a broker be guilty of it he or she does not perform under the terms and conditions of the listing contract?

Abandonment

What is necessary to qualify for the $500,000 exclusion from the capital gains tax realized from the sale of principal residence?

B a married couple, filing jointly

Mrs. Murphy is a struggling small investor who owns a boarding house and rents rooms to tenants.which statement is correct? A. She may advertise to attract tenants of a particular race or religion B. She may refuse to rent to any tenant that she feels would be incompatible with existing borders. C. She cannot refuse to rent to a border that she feels may be incompatible D. Private owners are exempt from fair housing act

B she may refuse to rent to any tenant that she feels would be incompatible with existing borders.

A five-year-old building has a reproduction cost of $100,000.the building requires a new roof, which will cost $4000.estimate be accrued depreciation based on a 25 year useful life. A. $29,000 B. $23,200 C. $19,200 D. $4000

B. $23,200

Larry, Moe and Curly form a partnership by oral agreement that Moe and Curly buy a property in sign a contract under the partnership name.which applies? A. Only Moe and Curly are liable B. All three are liable C. The partnership is liable D. No one is liable

B. All three are liable

I'll Center sells an income producing property for a $42,000 profit.what is the tax implication for the seller? A. No capital gains tax is required if the profits are reinvested within 24 months B. Capitol gains tax must be paid on the entire profit, less any allowable depreciation C. Capital gains tax must be paid on 20% of the profit D. The alternative minimum tax must be paid

B. Capital gains tax must be paid on the entire profit less any allowable depreciation

A licensee becomes a convicted felon serving a prison term.the commission: A. Would probably suspended license for the length of the term. B. Could revoke the license C. Will revoke the license D. Will suspended license

B. Could revoke the license

Under the truth in lending act, and credit advertising, which would not be considered a triggering term? A. $1,500 down B. Easy terms C. 6% interest D. 10% down

B. Easy terms

Peggy and Joan wish to form a partnership to buy and sell real estate for others.which statement is correct? A. Peggy and John must both be actively licensed brokers B. Either Peggy or John must be actively licensed brokers C. If Peggy is an active license broker, John must be an active license broker or be registered as an unlicensed partner D. If John is in actively licensed broker, Peggy must be in actively license sales associate or broker associate.

B. Either Peggy or John must be in actively licensed broker.

Which would never appear in the real estate sales contract? A. Remedies for breach B. Exculpatory clause C. Time for occupancy and closing D. Financing provisions

B. Exculpatory clause

A person owns an acre of property after allowing for a road 60 feet wide and 246 feet long, how many 80' x 90' lots could be developed? A. Three lots B. Four lots C. Five lots D. Six lots

B. Four lots

All of the following statements are correct regarding a corporation sol except: A. Title passes to the successor in office B. It may be broker real estate C. It me a list real estate with the broker D. It may sell its own real estate

B. It may broker real estate

Jasper Judd is a salaried resident manager of the Golden age condominium complex.Adolph Ajax and owner of one of the units in the condominium has asked Jasper to lease his unit while he is away on an extended trip to Bulgaria.jasper may A. Lease out the unit for any period of time as long as he is not compensated B. Lease out the unit for adolph for not more than one year as long as he is not compensated in addition to his salary C. Not Lisa the unit since this would Violate FS 475 D. Lease of the unit but may not be compensated more than $100

B. Lease out the unit for adolph for not more than one year as long as he is not compensated in addition to his salary

Which statement is true with respect to limited partners in a limited partnership former to broker real estate? A. All limited partners must be brokers, either active or in active. B. Limited partners are not allowed to perform management services C. Actively licensed limited partners main perform management services for the partnership. D. All limited partners must be licensed as interactive brokers or in active sales associates

B. Limited partners are not allowed to perform management services.

Owner tim was in need of cash and contact the broker Mildred to list his property.Mildred inspected the property and advised him that the house was worth $90,000.since Tim had to sell quickly listed the property for $84,000.Mildred acquired a 60 day portion for $1500 consideration and sold the property to weeks later for $92,000.which choice is correct? A. Mildred has committed fraud. B. Mildred me retain the difference C. Tim only owes Mildred a commission D. Tim should file a civil action against Mildred

B. Mildred may retain the difference.

Homeowner or one signed an exclusive right of sale listing with Bob, it registered broker.the listing states that Bob is employed to find a purchaser and Owen agrees to pay a 10% commission to Bob or any person, partnership, corporation or for the sale of the property.the remainder of the listing deals with the terms and condition of the sale and duration of the listing.wow old one was away on vacation, Percy made a written offer to purchase the property At A listed price, terms and condition.Bob, on behalf of owner owen, excepted Percy's offer and signed it for Olen.which statement is correct A. The listing authorized Bob to except the Best offer obtained for owen B. The listing did not give Bob the right to obligate owen to Percy's offer C. The listing gave Bob the equivalent authority of power of attorney D. Bob can except Percy's offer for Owen.

B. The listing did not give Bob the right to obligate owen to Percy's offer

A resident of Canada that has been denied a license in the province of Ontario subsequently moved to Florida and applies for real estate sales associates license.which would most likely apply? A. The applicant will automatically be denied a license in Florida B. The person will be granted a hearing, and application will be pending based on the results of the hearing C. The Canadian denial will have no bearing in Florida D. The previous problem does not need to be noted on the application as it took place outside of the country

B. The person will be granted a hearing, and application will be pending based on the results of the hearing

A sales associate list a Sutter's house and sells it in 2days. The seller is very appreciative and wishes to give the sales associate a bonus.which statement is correct? A. The sales associate can receive the bonus if the broker does not object B. The sales associate cannot receive the bonus from the seller C. If the Centerplace is the bonus in escrow the sales associate can receive it D. The sales associate can receive the deposit only if it is paid in cash

B. The sales associate cannot receive the bonus from the Seller

Farmer Jones meets broker Brown at a cocktail party.Jones and brown agreed that if Brown sells Jones Farm for $650,000 within 30 days, Jones will pay Brown a 6% commission.which applies? A. A fiduciary relationship has been established B. This is a contract, and brown is entitled to a commission if the broker performs C. Under the statute of frauds's this listing is not enforceable D. This is an exclusive right of sale listing

B. This is a contract, and brown is entitled to a commission if the broker performs

Complete the sentence.all listings should be in writing. A. To be enforceable B. To avoid any misunderstanding C. Because FS475 requires it D. Because the statute of frauds requires it

B. To avoid any misunderstanding

Shelving and racks used in business and installed by the tenant are generally considered to be which type of the following? A. Real property B. Trade fixtures C. Ostensible property D. Property of the landlord

B. Trade fixtures

Which of the following is a characteristic of an option contract? A. Executed B. Unilateral C. Bilateral D. Parole

B. Unilateral

A broker list and owners property for six months on an exclusive listing agreement for $80,000 at a commission of 7% three months later the owner sells the property to a nephew four $74,400 which statement is correct? A. The owner owes the broker commission based on the listed price of $80,000 B. The owner does not owe the broker commission. C. The owner is liable to the broker for damages. D. The owner owes a commission based on sale price of $74,400.

B.The owner does not owe the broker on commission

Which financial statement shows the status of a business as of a specific date?

Balance sheets

While using the cost appreciation approach, the appraiser me compare the subject property to recently built buildings.what are the new building is referred to as?

Benchmark structures

After transaction failed to close, the buyer and seller make conflicting demands upon the deposit held in escrow by the broker.the broker property notifies FREC of the dispute the parties to the contract refuse to resolve the dispute, and the broker elects to settle the matter in court rather than the commission for an escrow disbursement order.if the broker has no interest in collecting a commission which legal action should be filed?

Bill of interpleader

Which entity publish regulation Z?

Board of governors of the Federal Reserve system

A broker gave a number of business cards to a hotel registration clerk and asked the clerk to refer customers to him.for each customer the clerk refers the broker promises to pay a fee of $20.what will happen if this fee is paid?

Both the broker and the clerk will be in violation of the law

Once an offer is excepted and escrow deposit is in the brokers account, the broker hold the deposit on But half of which party or parties?

Both the buyer and seller

A real estate broker has entered into a single agency relationship with the seller for a three bedroom two bath house.one of the agents in the brokers office has found an investor wanting to hire the brokerage firm as a single agent.for the investor to be shown this sellers house.

Both the seller and the investor must agree to a transition to transaction broker status

A license sales associate receives a cash Binder deposit from a buyer on a parcel of land.before the sales associate can give the deposit to the broker, the sales associate loses the deposit.who is responsible?

Broker and sales associate

A broker held up at bank and escaped with a large amount of cash.what is the consequence if the broker is apprehend?

Broker is subject to discipline by the Florida real estate commission

A license he receives a monthly salarie of $500, a 2% commission on all listings the cell, and 3% on all sales.last month, none of her listing sold, but she did receive a total of $7400 in salary and commissions. What is value of property that she sold? A. $250,000 B. 246,667 C. $230,000 D. $148,000

C. $230,000

Which circumstance would qualify for the $500,000 exclusive of capital gains tax on the sale of the principal residence? A. The seller had occupied it for one of the last five years with a game up to $500,000 B. The accumulated capital gain is under $750,000 C. A couple has occupied for two of the last five years with the game up to $500,000 D. A couple has never taken the exemption before and gain is up to $750,000

C. A couple has occupied it for two of the last five years with the game up to $500,000

Buyer norma Gay sales associate Julie a post dated check as a bender deposit and told Julie the check would not clear until the following week.the broker was tied up with negotiations on a large transaction, so Julie presented Normas offer and disclosed to the center that the check was postdated and would not clear until next week the center asked Julie to hold the check in the positive when the funds were available.the broker was unaware of this arrangement which statement is correct? A. No violation occurred since Julie's property disclose the nature of the deposit, and the center allowed to check to be held subject clearance B. Julie is in violation of the law but the broker was unaware of the arrangement has no violation of the law C. Both Julie and the broker are violation of the law D. There is no violation since post dated checks cannot be deposit

C. Both Julie and the broker are in violation of law

A sales associate went on vacation.while gone, the broker move the office around the block.when the sales associate return, there was an urgent message that too serious prospects had called.also, a sale closed in his absence and the broker owes him a commission that what should the sales associate do first? A. Demand a commission B. Forget the commission since the sales associate wasnt there C. Call the two prospects immediately D. Immediately request re-issue of license from the FREC

C. Call the two prospects immediately

Complete the sentence. The ownership of a property actually transfers from the grantor to the grantee when the deed is.

Delivered and accepted

A, b and c bought 640 acres of land with equal and undevided interest. A and B were brokers, and C was not. A and B were frequent business partners but decided to let C handle the resale of the tract. C had very little experience but was able to find a buyer willing to pay a good price. Because of this, A and B decided to give C 40% of the profit and divide equally the balance of the profit. Which applies? A. C can do this if C is an attorney B. C can do this because A and B are brokers C. Fs 475 has been violated D. Since C is selling C's own land , C does not have to be registered

C. Fs 475 has been violated

The purchase price of the business, less the value of the tangible assets of that business, equals the intangible assets of the business.which item would be an intangible assets of the business? A. Real property B. Office furniture C. goodwill D. Personal property

C. Goodwill

Who could be the seller? A. Mortgagor B. Vendee C. Grantor D. Grantee

C. Grantor

George portfolio is a stockbroker who does not hold a real estate license. He believes the stock of the Gasaway corporation has high potential.upon contacting the president of Gassaway to assist the corporation in this thing it's stock for sale, he learns that the success of the company hinges on the negotiations open oil lease. George offers his assistance in the company engages him to negotiate the lease with slick slacker, the owner.upon closing the lease, the company employs George as it's stockbroker.George subsequently sells the Corporation stock.the corporation pays George a commission on the stock sale and gives him five shares for handling the oil lease.George: A. Is exempt as a salaried employee B. Acted properly functioning as a stockbroker C. Has violated FS 475 D. Has not violated FS 475

C. Has violated FS 475

Bob the residents of Kentucky has been an active broker in Kentucky for 10 years.Bob wishes to obtain a Florida real estate license.all of the following statements are correct except. A. He can take a Florlana exam and obtain a brokers license through mutual recognition if Kentucky has a mutual recognition agreement B. He can apply for brokers license take the brokers course and take the brokers state examination C. He must begin again in Florida as a sales associate D. He can apply for a sales associate license take the sales associate course pass the sales associate state examination and be issued a sales associate license

C. He must begin again in Florida as a sales associate

A broker has been 90 day listing with Mr. and Mrs. Jones and shows the property to Mr. and Mrs. Smith prior to expiration of the listing to the Smiths show an interest in the property but go back north without making the offer.next season the Smiths are back and have been to meet Mr. and Mrs. Jones while shopping.after several meetings, the Smiths make an offer and purchase the property.the broker: A. Is procuring cause of the sale and is entitled to a commission B. Is entitled to damages C. Is entitled to nothing D. May request FREC to interplead

C. Is entitled to nothing

Which statement is correct regarding a corporation sole? A. It can broker real estate deals B. It allows title to go to the heirs of the clergy in place C. It allows title to go to the successor to the clergy in place D. It acts like a corporation for profit

C. It allows title to go to the successor to the clergy in place

Which statement best describes a quit claim deed? A. It guarantees that the seller has the right to convey title B. It is the best deed from the grantees point of view C. It does not warrant the title D. It is the same as a guardians deed

C. It does not warrant the title

The DBPR me investigate matters it considers a violation of the license law in which of the following situations? A. It may investigate only those individuals who are registered with the FRECS sales associates or brokers. B. Let me investigate only upon court ordered subpoena C. Give me investigate any person having knowledge of the facts of the case. D. It may investigate only if jurisdiction has been established by proper court of law

C. It me investigate any person having knowledge of the facts of the case

Which of the following limits the actions of brokers? A. Certificate of estoppel B. Statute of frauds C. Law of agency D. All of the above

C. Law of agency

What would be considered an arms length transaction? A. Mr.Ajax to the Ajax corporation B. Mr. Smith to mrs. Smith C. Mr. Black to Mrs. Jones D. Gateway corporation to ABC investment

C. Mr. Black to Mrs. Jones

Broker Greer close down his real estate office and sold his inventory of listings to M and M Realty, Inc. an office down the street this is? A. Legal, since listings or assignable B. Not legal without the knowledge and consent of the listing sales associate C. Not legal since listings are not assignable D. Legal, since the broker can do anything he wants with the listing because he owns them

C. Not legal since listings are not assignable

All of the following are types of depreciation except: A. Economic obsolescence B. External obsolescence C. Physical obsolescence D. Functional obsolescence

C. Physical obsolescence

The courts usually applied legal tests to determine if personal property has become a fixture which of the following is included in those tests? A. Date of purchase B. Extent of the parties C. Relationship of the parties. D. All of the above

C. Relationship of the parties.

Health ordinances are local laws and rules created to protect the general welfare of the citizens in the community.these could include all of the following areas of coverage, except: A. Limitations on the type of number of pets B. Restrictions and rules for outside burning. C. Restrictions on the legal use of land D. Restrictions on permissible noise levels

C. Restrictions on the legal use of land

In which market would there be a shortage of housing? A. Buyers market B. Housing market C. Sellers market D. Deficit marker

C. Sellers market

Complete the sentence.the maximum loan permissible for a VA loan is?

Determined by individual lenders

Broker Davis, broker Ben and broke her bone for me partnership that the partnership buys, develops and sells land the sales associate Jerry becomes an equal partner in the firm.a sale is made resulting in a $40,000 profit.which statement is correct? A. The partnership is illegal unless Jerry becomes broker B. The partnership agreement must be filed with the Secretary of State. C. The profits may be divided equally D. Jerry cannot receive any portion of the profits

C. The profits may be divided equally

Mr. Smith makes an offer to buy a property.the offer is excepted two days before the closing, Mr. Smith says I am not Mr. Smith I am Mr. Brown and I do not want to close which statement applies? A. The broker can sue for commission B. The buyer does not have to buy C. The center console for specific performance D. The broker can sue for specific performance

C. The seller can sue for specific performance

A violation of FS 475 can result in any of the following actions except? A. Revocation B. Imprisonment C. Direct denial of compensation D. A fine of $10,000 per offense

D. A fine of $10,000 per offense

All of the following entities me a assign a mortgage, except: A. Freddie Mac B. A mortgagee C. Fannie Mae D. A mortgagor

D. A mortgagor

Who would be exempt from the real estate licensing law? A. An apartment manager in an on-site rental office renting for two years B. A condominium manager leasing units for two years on salary C. A mortgage broker negotiating a lease for one year D. A person who rents mobile home lots

D. A person who rents mobile home lots

A listing contract may be terminated in all of the following ways, except: A. Cancellation of the contract B. Fulfillment of the contract C. Mutual abandonment of the contract D. Acceptance of an offer of the property

D. Acceptance of an offer on the property

Which of the following is equivalent to an acre? A. 1/640 of an acre B. 43,560 square feet C. 208.71- foot square parcel D. All the above

D. All the above

When does the broker earn commission when employed to find purchases? A. When a successful closing is completed B. When a signed offer from a ready, willing and able to buy is brought to the seller C. When the terms are acceptable to the other seller D. B and C

D. B and C

Who may be compensated, directly by an owner, for performing any of eight services of real estate? A. Broker B. Sales associate, if employed by an owner-developer C. Principal D. Both a and b

D. Both a and b

All of the following are exempt from the FS 475 except A. Trustees for an estate B. Personal representatives for the state. C. Mortgage brokers engaged in financing activities. D. Business brokers

D. Business brokers

A line from a POB running north 90° east would be best described as. A. North/south line B. Northline C. Westbound line D. East/west line

D. East/west line

In A partnership, each partner does not necessarily have which of the following? A. Power to bind The others by his or her activity B. A share in the management of the business C. Liability for the depth of the partnership D. Equal shares of the profit of the partnership

D. Equal shares of the profits of the partnership

In Illinois corporation is transferring its employees to Florida.the firm retained the floor broker to find homes for their employees.the Charlie representing the Illinois corporation notifies the Florida broker that in the state of Illinois, and attorney is recognized as a real estate broker.therefore, the attorney wants a referral fee.what should The Illinois attorney do? A. Produce a certified statements to the Florida broker that the Illinois attorneys are recognized as brokers B. Not expect a referral from the Florida broker C. Notify FREC prior to expecting any referral fee D. Expect to receive a referral fee because he is recognized as a broker in Illinois

D. Expect to receive a referral fee because he is recognized as a broker in Illinois

What would the federal reserve do when it wants to increase the supply of loanable funds?

Decrease the reserve requirements

Owner A and friend B meet on the street. A says, i would like to sell my house. B takes the information and says, ill find you a buyer, ive done this several times for our friends. B does find a buyer for A's house, and the transaction is closed. Based on the above facts, which of the following applies? A. A has violated fs 475 B. B has violated fs 475 C. Both A and B have violated fs 475 D. Neither have violated fs 475

D. Neither have violated fs 475

A sales associate has a fight with the seller and it's the seller on the head with a canoe paddle.what penalty with the commission administered on the sales associate? A. Suspend the canoe paddle for 30 days B. Revoke the sales associates license C. Suspend the sales associate license in definitely D. None, since assault and battery is not a violation of FS 475

D. None since assault and battery is not a violation of FS 475

Which action would cause an applicant's request for licensure be denied without prejudice? A. Cheating on the state exam B. Having been convicted of fraud C. Have you been disbarred from the legal profession D. Omitting one or more answers to questions on the application

D. Omitting one or more answers to questions on the application

Sally is a licensed real estate broker in a state that has a mutual recognition agreement with Florida.sally wishes to obtain a Florida real estate license.her choice include all the following except: A. Taking a 40 question law exam and be issued a Florida broker license by mutual recognition if she is not a Florida resident B. Taking the broker course and state exam if she is a Florida resident C. Taking the sales associate course and state exam if she wishes to become a Florida real estate sales associate D. Receive a Florida license by reciprocity if she is not a Florida resident

D. Receiving a Florida license by. Reciprocity if she is not a Florida resident

Real estate taxes provide revenue to which of the following entities? A. Local, state and federal governments B. City, county and state governments C. City and county governments D. School boards, city and county governments

D. School boards, city and county governments

Fannie Mae and Freddie Mac or responsible for which of the following? A. Offering nonconforming loans B. Finding new sources in the primary mortgage market C. Ensuring loans made by approved lenders D. Standardizing lending practices and forms

D. Standardizing lending practices informs

All of the following items are typical prorations on the closing statement except A. Real property taxes B. Interest on the soul and loan C. Rent collected D. State documentary stamp taxes

D. State documentary stamp taxes

Tom, Brian and Bill purchase an office building in feesimple which form of ownership with Tom family prefer? A. Tenancy by the entirety's B. Joint tenancy C. Tenancy at will D. Tenancy in common

D. Tenancy in common

All of the following statements are correct regarding the consumer credit protection act, except: A. The act was designed to give borrowers the ability to shop wisely for credit. B. Borrowers must be shown the actual amount paid for credit in percentage form called the annual percentage rate APR. C. Borrowers must be given three working days to resend loan. D. The act was implemented by the board of governors of the Federal Reserve system through regulation b.

D. The act was implemented by the board of governors of the Federal Reserve system through regulation b.

All of the following statements apply to special assessments, except: A. They are charged to the owner of the property B. They are love you to finance specific improvements C. They are charged only for improvements that will increase the value of the property D. They are used to provide revenue for the counties operating budget

D. They are used to provide revenue for the counties operating budget

All of the following are essential elements of a real estate contract except: A. Consideration B. Offer and acceptance C. In writing and signed D. Witness and under seal

D. Witness and under seal

Mr. Brown sold his home for $160,000: $10,000 was allocated for closing costs, leaving him with a net of $150,000.7 years prior to the sales of his home Mr. Brown purchased a home for $100,000, thereby realizing a profit of $50,000.Mr. Brown had lived in the home for seven years.how much of the capital gain is taxable in the year of the sale? A. $15,000 B. $5000 C. $1000 D. Zero

D. Zero

Local palnning agencies have the final authority for all of the following except: A. Subdivision plat approval B. Site plan approval C. sign control D. Zoning variances

D. Zoning cariances

A broker may hold escrow deposits in any of the following except A. Savings Association B. Commercial bank C. Credit union D.Mutual funds

D.Mutual funds

An owner of the service station removals an inactive sales associate licensee has been appointed by the court to apraise another service station which statement is most correct? A. Since he or she has registration status that person maybe compensated for this service of real estate B. He or she must have an active license to be compensated C. He or she may be compensated by licensed broker D. He or she may be compensated directly for this service

D.he or she may be compensated directly for the service

Which of the following is a characteristic of a parole contract? A. In writing B. Signed by two witnesses C. Covered by statute of frauds D. Oral

D.oral

A broker had a listing in which part of it was oral and part of it was written and signed above the initials LS but all parties understood all the terms and conditions and agreed to them.which best describes his agreement? A. Parol B. Formal C. Unilateral D. Parole and formal

D.parole and form

How would the purchase price be correctly entered on a closing statement?

Debit buyer, credit seller

How is an existing mortgage that is being retired at closing shown on the closing statement?

Debit to Seller

Which term refers to the estimated time that an improvement Will be profitably useful?

Economic life

George has a residence in Fort Lauderdale and a summer home near Daytona Beach. He and his family spend every weekend as well as two months each summer in Daytona.Florida homestead laws allow him to qualify for homestead exemption on which property?

Either property, but he can claim only one exception

What keeps a land owner any key locational position from preventing the progress of the entire community?

Eminent domain

What title does a buyer have when he or she signs a sale contract or has purchased under contract for deed?

Equitable title

Under what condition does the DBPR have the power to investigate complaints against a license individuals?

Even if it is only indicated that the real estate license law is probably being violated

Which homeowners right can keep someone off of their property?

Exclusion

What is the term that is applied to the practice of keeping low income people out of particular neighborhoods?

Exclusionary zoning

Which clause any mortgage requires the lender to look to the mortgaged property only for satisfaction?

Exculpatory clause

Complete the sentence.one all turns and conditions have been clearly stated, a contract is said to be:

Expressed

Where are the rules of the Florida real estate commission found?

F.A.C 61J2

A broker sells a rental list to a prospective tenant for $200.in a written agreement, The broker states that the fee is nonrefundable.this is:

Illegal under the FS475

A sales associate receives an offer from the buyer along with a post a check that would action must a sales associate take?

Immediately turn it over to the broker

What type of easement must be obtained when he utility company wants to put powerline pulls through a property?

In gross

Complete the sentence.real estate commissions are usually based on the total sales price

Including encumbrances

Amanda lives in a neighborhood of $50,000 homes.he decides to install expensive imported marble tile throughout the home.this would be an example of which type of depreciation?

Incurable functional depreciation

What does the FHA do with respect to mortgage lending?

Insures loans

A mortgage or who purchases under the FHA 203 mortgage loans programs may have monthly payments that include principal and what else?

Interest, taxes, insurance, and mortgage insurance premiums

A broker has an abstract accompanied by an opinion of title by qualified to turn in his file that was prepared one year ago.one potential buyers inquired whether or not the title to the property was merchantable, the broker gave them a copy of the abstract an opinion of title and assured them that the title was in the merchantable.the broker:

Is in violation of the license law

What is the FREC authorized to do?

Issue a summary suspension

Which method might the county use to enforce building codes?

Issuing certificates of occupancy

Which statement accurately describes an owners title insurance policy?

It guarantees against all defects and encumbrances to which no exception has been taking

Which time. Applies to win the state for years?

It must be for at least two years

What was the major impact of the Jones V.Mayer supreme court case in 1968?

It's strictly prohibited discrimination based on race with no exception

Which tendency contains the right of survivorship?

Joint

Frank and Harry on a property.Frank dies in the property passes to harry.how was this property held?

Joint estate

If two or more persons have an undivided interest in real property which state cannot be created unless specific wording in the Deed provides for the right of survivorship?

Joint tenancy

The buyer receives all of the following items at closing, except: A. Deed B. Mortgage C. Opinion of title D. Closing statement

Mortgage

What is the instrument that is used to pledge real property as security for debt?

Mortgage

What is the name for the legal document that pledges a property as security for a loan?

Mortgage

All of the following entities make loans, except: A. Life insurance companies B. Mortgage lenders C. Mortgage loan originators D. Commercial banks

Mortgage loan originators

All of the following is a primary lenders except: A. Mortgage loan originators B. Commercial banks C. Life insurance companies D. Savings associations

Mortgage loan originators

A sales associate is setting his or her own property.what information would be required in the brokers advertisement?

Name of the brokerage firm

Which type of lease is typically used in commercial real estate where the tenant pays both rent and expenses?

Net lease

Which type of loan also known as the subprime loan, is offered to borrow ours who do not qualify for loans under written using certain criteria and standards established by Fannie Mae and Freddie Mac?

Non-conforming loan

A conventional store existed at a location prior to zoning law changes that would have disallowed it. Under which type of exception can the store remain?

Nonconforming use

What is one mill?

One the thousandth of a dollar

Which clause any mortgage allows the borrower to borrow back up to the original loan amount?

Open end clause

What type of listing can be held by more than one broker?

Open listing

Under what circumstance is personal property included in the purchase of a home as additional security for the loan?

Package mortgage

Which type of loan uses both real and personal property as security?

Package mortgage

Which business structure hold title to land in its own name?

Partnership

Which business structure makes all principles responsible for any debts incurred in the name of the entity?

Partnership

Who must pay any points that are due on a VA guaranteed loan?

Party specified in the contract

An owner of a piece of real estate has purchased the materials to fence the backyard what type of property is the fencing material?

Personal property

John has the opportunity to invest in a property with a 9% return. He can borrow the money at an interest rate of 7% which investment characteristic exists?

Positive leverage

What is actual notice?

Possession of the property that can be seen and heard

What is the name for the annual income that an investment property could make with no vacancies or collection losses?

Potential gross income

A broker has been found guilty of mail fraud by court and sent to jail.the brokers license will:

Probably be revoked because of the conviction

What business is a licensee engaged in Who markets leases and maintains property for someone else?

Property manager

How is the right to occupy cooperative evidenced?

Proprietary lease

How are property taxes accounted for on a closing statement?

Prorated between the buyer and seller

What are ad valorem taxes?

Real estate property taxes

What is the term used to refer to the process of arriving at a Final estimate of value in appraising?

Reconsideration

Ron and his wife each have real estate licenses before he enters the military.Ron is stationed in Washington DC and his wife accompanies him there.if they make their licenses inactive

Ron and his wife are exempt from the renewal requirements until six months after Ron's discharge

What is the purpose of a title search?

Run a chain of title

A Florida real estate licensee is permitted to draw up which of the following items?

Sales contracts and the approved fill in the blank residential lease

A licensee files a false affidavit to make a claim against a property.how is this criminal action classified?

Second-degree misdemeanor

Before the rules and regulations and acted by the Florida real estate commission become effective they must be filed with which entity?

Secretary of state

Who may issue a summary suspension?

Secretary of the DBPR or his or her representative

Which clause any deed states that the grantor was in possession and has the right to sell the property?

Seisin

Which of the following is essential for a deed to be valid?

Sign by the grantor and/or grantors

What is included in the annual percentage rate APR?

Simple annual interest plus finance charges

The Florida real estate commission must report criminal violations of FS 4752 which entity?

State attorney general

Which entity establishes the rate for a documentary stamp?

State of Florida

A sales associate finds a buyer ready, willing, and able to purchase a home.the seller refuses to sell and will not pay the broker commission.the broker does not pay the sales associate a commission.what made the sales associate do?

Sue the broker

What type of Writ contains a command to state a legal proceeding. As in halting or delaying the suspension or Revocation of a real estate licensees license?

Supersedeas

When an unlicensed person practices real estate what criminal penalty can be imposed?

Third-degree felony

A seller any broker make an agreement that the broker may receive 100% of the deposit if the buyers defaults in this locality a 50-50 split of forfeited deposit is customary what me the broker do?

Take 100%

Smith owns an orange Grove in a warehouse.Smith died intestate, and the court appointed Brown to dispose of Smith assets.what can Brown do?

Take the necessary steps to sell the properties and be compensated for his or her efforts

If a broker is aware of the construction lien on a piece of property, what should he or she do?

Tell the buyer before going to contract

Jim, Matt, and Jack were owners of a parcel of real property.Met died, and his coownership past according to his will to become part of his estate what type of tenancy did Matt have?

Tenancy in common

Three members of the family purchase an office building without the right of survivorship.one.is.what type of estate do the remaining family members have?

Tenancy in common

Which mortgage provides an interest only loan?

Term mortgage

Florida law requires that brokers place escrow deposits into an escrow account.what else is required by the law regarding that account?

The broker be a signer on the account

In pursuit of an unpaid commission, a broker hires an attorney to attempt to obtain a judgment lien against the center.in the course of the action, and on the advice of the attorney, the broker filed a lis pendants against the sellers property.what action may be taken against the broker.

The brokers license may be suspended or revoked

A buyer takes over the sellers mortgage payments, but does not assume liability.which statement best describe this situation?

The buyer is purchasing subject to the mortgage

A Florida broker was arrested in Alabama and charged with possession of stolen property.the broker has confessed to a role in a thief ring and has provided the names of the Complices.should the FREC be made aware of this prior to the case going to trial, what action would it take regarding the brokers license?

The commission may revoke the brokers license

Before registration is granted to a foreign corporation to do brokerage business in the state of Florida, it must have at least one active Florida broker and?

The corporation must receive a letter from the Florida Secretary of State, giving permission to do business in Florida.

How does the Sherman antitrust act relate to real estate brokerage?

The fixing of commission rates

Which condition would decrease the supply of loanable funds for real estate loans?

The government bonds increasing

What happens with negative amortization?

The loan balance increases

Define a lien theory state such as florida?

The mortgage serves as a lien against the property.

What does the creation of a condominium required?

The recording of the declaration in the public records

Attendance already makes an offer to lease a house for two years at $600 a month.what makes this offered unenforceable?

The statute of frauds

What happens when the Federal Reserve orders financial institutions to increase their reserves?

The supply of loanable funds is reduced

What is the term used for the amount of money that a home owner pays in property taxes?

The text Levy

What is stated in the statute of limitations?

The timeframe in which a contract can be enforced.

Which clause in a deed further assures the buyer that the present owner actually owns the property and has the right to sell?

The warrant of seizing

How would an owner show marketable title?

Title insurance

What does the statute of frauds require?

To be enforceable, a contract transferring an interest in real estate must be in writing.

Florida has established three authorize brokerage relationships.unless otherwise established by agreement what is the brokers relationship with the public?

Transaction broker

In states which operate under title theory, the borrower:

Transfers possession to the mortgagee or a third party until paid.

Which form requires the signature of all parties

Transition to transaction broker

A developer advertises homes for sale with a total down payment of $1500. The developer knows that all of the houses with that amount of down payment have been sold. Is this transaction covered under truth and then laws?

Yes because it is bait and switch advertising and is illegal

Can a broker be entitled to two commissions will consummating an exchange?

Yes providing both parties are advised and approve

An option contract is a right to buy a property during a specified period of time at a specified price.how many days do you have to redeem an option once it has expired?

Zero

To determine the potential use for a vacant lot would require checking with which entity?

Zoning department

If the grantor is insolvent, which of the following beads would be the best from the buyers point of view?

any deed